The Renters’ Rights Bill is likely to fail to reduce the government’s target of reducing housing insecurity for millions of private tenants across the country, unless amendments are made to strike the right balance for landlords and letting agents, as well as tenants.
There are widespread concerns that the proposed Bill, in its existing form, will deter a high number of landlords from continuing to invest in the private rented sector, leaving many rental homes at risk of being sold.
The Renters’ Rights Bill returned to parliament yesterday for the Second Reading, less than a month since it was first introduced. It was the first time MPs debated the Bill, as it takes another step closer to becoming law.
Deputy prime minister Angela Rayner said: “I am determined to get this Bill in to law as soon as possible. The thousands of children and families living in unsafe housing or under the cruel threat of a Section 21 eviction notice have been waiting far too long already.”
“We will deliver on our promise to renters and transform the sector into one where families can put down roots, where children can grow up in healthy homes, and where young people can save for their future.”
But Propertymark, like many trade organisations representing agents and landlords, is concerned that the Bill will discourage investment in the PRS.
Timothy Douglas, head of policy and campaigns at Propertymark, said: “Whilst we welcome commitments from the UK government to not introduce rent controls, it is clear that much more needs to be done to ensure the Renters’ Rights Bill gets the balance right for landlords, agents and tenants.
“Outstanding questions need to be answered about how the legislation will help meet the huge demand for homes to rent and increase supply, as well as local authority capacity to enforce existing rules and the new measures proposed in the Bill.
“Many MPs raised Propertymark’s concerns that the UK government hasn’t yet produced an impact assessment on the changes and the removal of fixed term tenancies that currently ensure tenants and landlords know how long the rental period is and what their rent costs are.
“We urge the UK government to listen to the need to extend the student ground to more sharers and introduce measures to register short term lets to level the playing field with the private rented sector to ensure there are enough homes to rent long term.
“Propertymark will engage further at Committee Stage to ensure the Bill is evidence based and the role of property agents is incorporated fairly so they can support measures to drive up standards across the private rented sector. This will provide benefits for tenants and landlords alike.”